A series of laboratory tests were conducted to study stress-induced spalling on medium to coarse-grained granite specimens. The specimens made from cylinders had two manufactured notches on opposite sides aimed to represent the tangential loading around a circular opening. Specimens of three different sizes were tested with notch radii, 98.5, 225 and 375 mm, representing 197, 450 and 750 mm diameter holes, to study the effect of notch radius on the spalling initiation stress. The cracking was monitored by acoustic emission sampling. The fracture patterns were investigated visually on polished slabs and by microscopy on thin sections. The crack analysis describes how the cracks propagate in relation to the grain structure in the rock and to the macroscopic stress field.